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Highest Percentage Coverage from the IT Sector in GDP Growth

Highest Percentage Coverage from the IT Sector in GDP Growth

IT-based services are essential for any organization to increase productivity, makes business processes flow easily, and grow efficiently and economically in this competitive world. Managed IT services have impacted the economy so drastically that today all enterprises running on IT infrastructure contribute to GDP, which is a good indicator of the country’s growth that further contributes to per capita income. Moreover, the overall competence of the IT-based industries has increased because of the needed technology element to make the Indian backbone strong.

This financial year, the tech sector is expected to grow at almost twice the rate of the Indian economy. NASSCOM said recently that the sector revenue is estimated to rise by 15.5% to $227 billion in 2021-22, based on the performance of the first nine months of the year and expectations for the ongoing quarter. As a result, India’s GDP is expected to grow between 8% and 9%.

IT-based services are requisite for any organization to increase productivity in all three sectors of the economy. It has contributed to the country’s economic growth and made government services and information more accessible and inexpensive. Also, introducing technology-based knowledge has opened the gates for job seekers.

Contribution of the IT Sector to the Indian GDP

Growth in the IT industry

When FDI leads to inflows from outsiders, it dramatically impacts India’s IT business services—attracting foreign investors to invest in India. It has created a blockchain among the IT firms in India (TCS, Infosys, Wipro, HCL Tech) and have employed over 1 million employees. New IT-based technologies like remote monitoring, cloud services, Internet of things (IoT) will further expand the size of the IT sector in India. IT companies have started their main centres in tier 2 and tier 3 cities, which help in further growth and remove disparities simultaneously.

Human resource development

India’s main competitive advantage in the software and services industry is its abundant English-speaking and cost-effective human resources. Compiling the knowledge skills of different fields to the new genes has contributed to human resource development.

IT infrastructure improvement

In the Z-generation world, the growth of every economy is linked with the growth of information technology. Therefore, it is essential to improve infrastructure, including services like telecommunication, e-governance platform and many more private and public new startups to improve the IT infrastructure.

Research, design and development

Nations investing in human resources, research and development and high-quality university education have achieved worldwide leadership. Under the WTO regime, the liberalization, globalization and privatization of the industry lead to an increase in exports and imports from other countries. The globalized environment has contributed to the GDP significantly.

To know more detailed information regarding the investment opportunities in the IT sector, you must contact FDI India, who helps in expanding your business after providing you soft loans from foreign investors. You can apply the funds received for various IT-based functions of your business like general management, marketing, human resources, finance, accounting, production, public relations etc. Our experts can guide you through the entire process.

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